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I'm an Indian and own majority shares in an Indian Private limited company. One of the shareholders of the company is a foreigner and wants to transfer his shares to another foreigner. Can I prevent this transaction as a majority shareholder of the company

Selling Shares at a price lesser than fair market value:

An Indian resident cannot transfer the shares to a foreign resident/ company at a price lesser than fair market value and has to comply with FEMA rules. However, a foreigner transferring shares to another foreign resident/ company is exempt from these rules and you cannot legally preve...

I'm an Indian and own majority shares in an Indian Private limited company. One of the shareholders of the company is a foreigner and wants to transfer his shares to another foreigner. Can I prevent this transaction as a majority shareholder of the company

Selling Shares at a price lesser than fair market value:

An Indian resident cannot transfer the shares to a foreign resident/ company at a price lesser than fair market value and has to comply with FEMA rules. However, a foreigner transferring shares to another foreign resident/ company is exempt from these rules and you cannot legally prevent this transaction

Shares are the personal assets of the shareholders and the shareholders have full liberty to transfer the shares to whoever they wish to. You can offer to buy that share at the same price your foreign shareholder is being offered but you cannot compel him to accept the same.

I'm an Indian and own majority shares in an Indian Private limited company. One of the shareholders of the company is a foreigner and wants to transfer his shares to another foreigner. Can I prevent this transaction as a majority shareholder of the company

Selling Shares at a price lesser than fair market value:

An Indian resident cannot transfer the shares to a foreign resident/ company at a price lesser than fair market value and has to comply with FEMA rules. However, a foreigner transferring shares to another foreign resident/ company is exempt from these rules and you cannot legally prevent this transaction

Shares are the personal assets of the shareholders and the shareholders have full liberty to transfer the shares to whoever they wish to. You can offer to buy that share at the same price your foreign shareholder is being offered but you cannot compel him to accept the same.

10 days ago

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